Speaking at the Mortgage Business Expo 2011, Nationwide and TMW’s senior manager of corporate accounts, James Chidgey, said that the buy-to-let sector will “comfortably” hit £13bn by the end of 2011.
He said: “This doesn’t sound like much, but it is 10% of the market and growing.”
Chidgey highlighted the enormous and rising tenant and investor demand, with the situation not improving for potential first-time buyers for another five to ten years.
He said: “If brokers are not doing 15% or more of their business in buy to let they are underperforming. More landlords are adding to their portfolios. Many are cash portfolios taking advice where necessary to gear their portfolio and spread their risk to increase returns.”
However, Chidgey warned brokers must caution clients on the regulatory and tax responsibilities that landlords face.
